Question
The following information pertains to the Man City Supporters Club: Balances as at 30 September 20.22 R Membership fees received................. 15 810 Accrued membership fees
The following information pertains to the Man City Supporters Club:
Balances as at 30 September 20.22 | R |
Membership fees received................. | 15 810 |
Accrued membership fees (30/09/20.21)......... | 1 860 |
Membership fees received in advance (30/09/20.21).. | 2 700 |
Advertising expenses................. | 3 500 |
TH fund - (30/09/20.21)............................ | 28 000 |
Additional information
The following transactions must be taken into account for the year ended 30 September 20.22:
(a) During the current year 12 new members joined the club. The entrance fee per member is R600 and 75% of the entrance fees received should be capitalised and the balance recognised immediately.
(b) At year-end accrued membership fees amounted to R2 250 and membership fees already received for to the next financial year amounted to R5 400. 50% of the accrued membership fees balance outstanding at the beginning of the financial year should be written off.
(c) On 1 October 20.19, Thomas Henry donated an amount R28 000 to the club, the funds were then invested on the same day in a fixed deposit account with Wenger Bank at an interest rate of 9,5%. The condition for the donation is that the income from the investment should be used to advertise the club and the capital amount can only be used after 10 years.
(d) Advertising expenses incurred by the club were R3 500 for the 30 September 20.22 financial year.
The advertising expenses that should be recognised as an expense in the statement of income and expenditure for the year ended 30 September 20.22 will be
Instructions:
1. Use a full stop to indicate any decimals (eg: 1000.01)
2. Round off to the nearest Rand (eg: 50.56 is 51)
3. Only show the amount, do not show the R (eg: 12141.72)
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